This browser is not actively supported anymore. For the best passle experience, we strongly recommend you upgrade your browser.

| 1 minute read

Walmart Exits Health Center Business

Citing the formidable healthcare reimbursement environment in the United States, mega-giant Walmart has decided to close all of its Health Centers nationwide, and with it, all of its telehealth virtual care services. 

Coming as no surprise to anyone working in the healthcare industry, it is tough to get paid by patient health insurance, and operational costs are soaring. 

A Walmart spokesperson said they experienced significant challenges,  “from all types of insurance.” Plus, it turned out, people did not want to leave their established primary care physician relationships. 

Without reliable reimbursement, rising operating costs for Walmart's healthcare clinic operations could not be met. Walmart says it was unable to see a sustainable business model for itself in the healthcare services, given the lack of profitability. 

In 2019, Walmart made a huge push into the healthcare market with over 50 health centers, with stated plans to open a total of nearly 100 across the country by the end of this year. By closing them all, Walmart is exiting operation of its in-person and virtual primary care services, urgent care, diagnostic labs, radiology, behavioral health, and dental care. 

Walmart will continue to operate its 4,600 pharmacies and over 3,000 vision centers inside their stores. 

 

[T]he challenging reimbursement environment and escalating operating costs create a lack of profitability that make the care business unsustainable for us at this time." ~ Walmart Spokesperson